Question 1: What rate of CGT would a person pay if he had a capital gain of £30,000 and had earned income of £220,000?
Question 2: At what level of income does an individual start to lose his/her personal allowance?
Question 3: William and Mary make a gift of £10,000 to their 16 yr old student grandson, George. The money earns interest of £300. Who is liable for the tax on that £300?
A) William and Mary
B) George’s parents
D) Nobody, because George is a student and students don’t pay tax.
Question 4: Alfie is widower aged 71. His annual income for 2012/13 is £27,000. How will his age allowance be restricted for 2012/13?
A) By £1 for every £1 of his income that exceeds £25,400
B) By £1 for every £2 of his income that exceeds £25,400
C) By £2 for every £1 of his income that exceeds £25,400
D) It will not be restricted as he is aged 71
Question 5: At what age does an individual become eligible for a personal allowance to set against any income that he/she may be taxable on?
A) From birth
B) 7 years old
C) 14 years old
D) 16 years oldz
Questions supplied by Technical Connection